Linamar to Close Lost-Foam Operation

Directors of Linamar Corp., Guelph, ON, approved plans to close the Diversacast lost-foam casting facility in Guelph. Linamar stated that after all the options were considered, it had decided to undertake “a controlled exit of the lost-foam casting operations,” as the best way to work toward the corporation’s long-term goals. Diversacast is expected to report a pretax operating loss of C$800,000 ($694,565), and the write-off of the assets will total C$500,000 ($694,565). All employees at Diversacast will be offered employment in other Linamar operations. Linamar designs and manufactures precision machined components, modules and systems for engine, transmission and chassis systems. "We have been frustrated by an inability to grow the lost foam casting business at an acceptable rate," said CEO, Linda Hasenfratz. "Widespread acceptance of this technology is just not taking hold as we had hoped it would."